Vested benefits payment

A vested benefits payment comprises the retirement assets accumulated in the second pillar (BVG) that are not immediately transferred to a new pension fund upon termination of employment (e.g., due to dismissal, change of job, unemployment, or self-employment). It is transferred to a vested benefits account or custody account. The money remains tax-privileged and continues to grow with interest or based on investments. It can only be withdrawn as capital or a pension upon retirement (at the earliest from the age of 58/59) or upon definitive withdrawal from the mandatory pension scheme (e.g., in the event of emigration).